5 Reasons to Hire a Registered Agent

reasons to hire a registered agent

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Having a registered agent, also known as a resident agent or statutory agent, is a requirement for business owners of limited liability corporations (LLC) or standard corporations.

Registered agents most commonly accept service of process from a process server.

Service of process is the formal notification of a lawsuit of which you are to be a party, and this service provides you with due process. Additionally, this person is responsible for keeping track of the paperwork and notifying you as the business owner.

Clearly, it is an important role within your business. A professional registered agent can accept the service of process on your behalf without requiring you to be at your home or office.

While some business owners choose to serve as their own registered agent, there are distinct advantages and benefits to hiring a professional to serve as a registered agent for your business.

Let’s take a look at a few of the reasons why you might hire a registered agent instead of acting as your own.

1 Public Access

When a registered agent is designated as a representative of the business, the name and address of the person serving as the registered agent will be published with your business name.

The reason that this information is made publicly available is so that a process server can easily locate a representative of your business to provide service of process. After all, service of process gives you your legal right to due process, and process servers have to know where to find you.

While this may seem simple, having this information publicly available means that anyone can contact you. Whether you use your business address or your home address, that information would be made public. That means that the address that serves as the business address for the registered agent is susceptible to receiving junk mail and sales visits.

Hiring a registered agent can eliminate that hassle for you, and it helps to maintain your privacy.

 2 Privacy

You may think that it does not matter if your business address and associated registered agent is made public and choose to serve as the registered agent yourself.

Keep in mind the purpose of the registered agent: to receive service of process. If your business gets sued or is involved in a lawsuit, you would get served at your place of business.

Consider how customers or patrons might feel if they see you getting served. Would that damage your reputation? Would it incite harmful rumors?

Hiring a professional registered agent ensures your privacy — not just in the address, but with regard to business matters as well. Making the decision to hire a registered agent is a decision to keep your business’s legal matters as private as possible.

3 Availability

A registered agent must be available during standard business hours at the address provided.

If you are constantly on the go or not present at your business during standard business hours (such as for non-work related reasons like vacations or picking up the kids, or even for business reasons, such as outside sales or running business errands etc.), you will need to hire a registered agent.

Even if you are typically at your business, you may not be available to stop what you’re doing and tend to the paperwork. Although the hand-off of legal documents is relatively quick, interrupting your work and ensuring the papers are properly stored after receipt can be an unwelcome hassle. Hiring a registered agent solves that problem.

Similarly, if your business operates during non-standard hours, or if you intend to travel during the year and won’t be at your business, hiring a registered agent who will be available is necessary to ensure that process can be served.

4 Multi-State Businesses/Online Businesses

If your business operates out of more than one state, a representative for the business has to be in place in each state.

Obviously, as the business owner, you cannot be available in two places at once, so it makes sense to hire a registered agent.

Similarly, even if your business operates online and does not have a physical brick-and-mortar address, you still need a physical address for the registered agent. While you have a home address, you may not want to use your home address for the reasons stated above.

Since a registered agent must be available during standard business hours at a physical address, this is another reason to hire a registered agent.

5 Convenience

As a business owner, you have enough on your plate. Especially if you operate as a small LLC, you may be handling multiple roles within your company. You may not be available to accept service of process. By choosing to have a professional registered agent, you’re paying a nominal fee to take care of a very important role without having to pay an hourly employee.

Additionally, professional registered agents are aware of legislation changes and news that may affect how service is accepted.

Hiring a registered agent to accept service of process and keep track of legal notices can help you focus on what’s most important: taking care of your business and making a profit.

How to Hire a Registered Agent

Overall, there are many reasons to hire a registered agent — and it’s pretty simple to do. We can walk you through the process and answer any questions you might have. Give us a call to get started: (855) 236-9172 or simply order online here. It’s that easy!

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